DeepSeek R1 app surge (2025)
DeepSeek's R1 chatbot became the top free app on Apple's US App Store on January 27, 2025. Nvidia fell 17% that day, losing about $589 billion in market value, as investors questioned spending on premium AI chips.
DeepSeek's app downloads spiked and US tech stocks sold off for a day.
The episode established that a cheap Chinese model could capture global attention quickly, though app downloads did not translate into lasting consumer market share.
It shows how fast a low-cost Chinese model can move a public ranking, and how little a download or token count says about durable revenue.
